Japanese Factory Visit Tour for Development of Food-Value-Chain in ASEAN

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1 Japanese Factory Visit Tour for Development of Food-Value-Chain in ASEAN

2 Team Members 2 Ajchara Kessuvan Supervisor Keetatara Namuangrak Agricultural Extension

3 Team Members 3 Pimchanok Boonpasit Napawan Limmahakun Boonsita Vichienvanitchkul Preuk Petsophonsakul

4 THAILAND 4 77 Provinces Area 513,120 km 2 68 Million Population 20 th most populous country on earth on 2016 Export value Agriculture and agro-industry products : 20% Located in South East Asia

5 THAILAND 5 CROP&GRAIN 77 Provinces Area 513,120 km 2 LIVESTOCK 68 Million Population AGRICULTURE 20 th most populous country on earth on 2016 HORTICULTURE Export value Industry products : 88.7% Agriculture & Fishery products : 8.3% FISHERIES Located in South East Asia

6 6 Northern Northeastern Central & Western Southern Eastern

7 7

8 Thailand (Production) 8 LIVESTOCK FISHERIES 14% 8% HORTICULTURE 12% 66% CROP&GRAIN

9 Thailand (Production) 9 56% AGRICULTURE PRODUCTION Growth ratio of agriculture DECREASE When compare industrial

10 Challenge (Production) 10 Teenager not do farming Do not have crop rotation Less area for farming (real estate) Use chemical

11 Applying the knowledge from japan (Production) 11 Satisfied customer requirement Educate young generation Use technology for increase capability Crop rotation Efficiency of up stream Identified condition before planting provide after sell service

12 Applying the knowledge from japan (Production) 12 Provide machinery for mutual benefit of farmer Education for start farmer and support for financial statement Teaching processing technique

13 13

14 The main exported products of Thailand 14

15 The percentage of added value industry 15 Dairy product Sugar Oils & Fats Meat & Meat products Fruit & Vegetable 5% 12% Starches& Starch products Others 7% 8% 6% 8% 4% 3% 9% 15% 23% Fish & seafood products prepared animal feeds Grain mill products Beverages

16 Research and Development (Manufacturer) 16 Mango Mango Sheet Mango juice Freeze dried mango Dried mango Durian Durian Cracker Durian Chip Freeze dried Durian Durian shaved ice

17 Research and Development (Manufacturer) 17

18 Challenges of Thailand (Manufacturer) 18 Updated Innovation Paradigm and processes Develop innovative Market model for innovation Focus on Quality control Standard Control

19 Applying the knowledges from Japan (Manufacturer) Support researchers to research and develop processing technology by setting laboratory room which suit with each product. 19 Develop innovation continuously and look forward to the future demand including future trend. Focus on quality checking and set a policy of company related to quality control Aware to food safety and security Realize about the important of food standard and regulations in order to expand the target customers around the world.

20 Applying the knowledges from Japan (Manufacturer) 20 Combine between traditional processing and technology processing for traditional Thai products (e.g. Thai traditional whisky ) and create the story of product Develop packaging of rice for more attractive and environment friendly

21 21

22 Food Distribution in Thailand (Distribution) Wholesale 22 Talat Thai Market The largest wholesale food market in South East Asia Food products and all agricultural produces.

23 Food Distribution in Thailand (Distribution) Retail 23 Modern trade Serves the need of all ages range for shopping varieties of product Range Increasing number of Modern Trade stores such as hypermarket, supermarket and department store

24 Challenges of Thailand (Distribution) 24 Wholesale Respond with customer requirement Maximum price, the best quality Provide Facilities for customer Retail Implement environmental concept

25 Applying the knowledge from Japan (Distribution) Wholesale Retail 25 Establish regulation for goods in wholesale Set up auction Distribution system to serve their product Follow 17 sustainable development goals Aquaculture Stewardship Council (ASC) Marine Stewardship Council (MSC) Forest Stewardship Council (FSC) Fair trade mask Organic product

26 Distribution in Thailand (Distribution) 26 Rail transport Water transport low capital cost low capital cost mass transportation long time Rail 12% Air 3% product size long time Air transport Water 25% Road 60% Road transport Very fast convenient high capital cost fast product size high capital cost

27 Challenges of Thailand (Distribution) 27 Develop cold chain system Research the way to protect parcel / prevent damage Implement traceability system

28 Applying the knowledge from Japan (Distribution) 28 Find the maximum force that parcel can be receive by doing the research Use roller fridge in order to transfer the product during transport Set up system for tracking the parcel along the way (RFID)

29 29

30 Lifestyles in Thailand (Consumers) 30 Start to Accept western culture to become a multi style Movement from traditional market to modern trade New trend in food is convenience" and "fast Digital lifestyle, internet-based communications to better quality of life

31 Challenges of Thailand (Consumers) 31 Conservative Thai culture, Thai traditional and Thai food Implement traditional trade to be famous Provide knowledge to young generation that good food is important for living Upgrade market for beyond

32 Applying the knowledge from Japan (Consumers) 32 Provide knowledge to young generation for conservative culture & traditional Integrate culture with marketing & Create a story of product Create customer experience management (CEM) Educate young generation that good food is important for life Use internet to bid on flower market

33 Conclusion Richness of resources Variety of raw material Some major product have ability to export S O Reducing of the number of farmer Limited value added and value creation knowledges Research in lab scale, can not apply in commercial Weak natural resources management system W T 33 Mutual trade agreement between country e.g. FTA Healthy food trend of world marker Economic fluctuation Disaster Low bargaining power in the world market

34 TOWS Metrix 34 Continuous improvement in R&D Catch up trend of the world and forecast in advance Encourage young generation to do farming Strengthen the implementation of innovation to commercial scale S-O S-T W-O W-T Develop warning system of disaster Co-creation with partnership Set up the farmer training center

35 Acknowledgement Ota Market

36 Thank You For Your Attention

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